DPC Dash (1405) H2 2024 earnings summary

Executive summary

• Achieved record revenue of RMB 4,314.1 million in 2024, up 41.4% year-over-year, driven by rapid store expansion and strong sales in new and existing markets.

• Net profit after tax turned positive at RMB 55.2 million, reversing a net loss of RMB 26.6 million in 2023.

• Opened a net 240 new stores, reaching 1,008 stores across 39 cities, and entered 10 new cities in 2024.

• Loyalty program membership grew to 24.5 million, with members contributing 64.5% of total revenue.

• Achieved #2 ranking in China pizza sales for 2024 and received multiple industry awards.

Financial highlights

• Adjusted EBITDA grew 64.1% to RMB 495.2 million, with margin up to 11.5%.

• Adjusted net profit reached RMB 131.2 million, up from RMB 8.8 million in 2023, with margin at 3.0%.

• Store-level operating profit increased 48.7% to RMB 624 million, with margin improving to 14.5%.

• Average daily sales per store rose 4.3% to RMB 13,126; same-store sales growth was 2.5% for 2024.

• Cash and cash equivalents stood at RMB 1.07 billion at year-end 2024.

Outlook and guidance

• Plans to open about 300 new stores in 2025, with 56% of the target already secured and RMB 570 million in expected capital expenditure.

• Expansion to focus on operational excellence, store quality, and further market penetration, with potential entry into one or two new markets.

• 82 stores already opened in early 2025, on track to meet the full-year target.